A complete marketing analysis of Maruti Suzuki along with a comparision to the closest competitor Hyundai

1. 10/5/2014 1

2. Content
Company Profile
Evolution of Maruti
Market Share
STP
4 P’s
SWOT Analysis
1
2
3
4
5
6
7
Sales Volume And Profit

3. Company Profile
• Maruti Udyog Limited (MUL) was
established in Feb 1981 through an Act
of Parliament
• Joint Venture agreement signed with the
Suzuki Motor Company of Japan in Oct
1983
• 1992 Suzuki increased its equity to 50%
turning Maruti into a non-government
organization.
• Maruti is the 3rd highest volume car
manufacturer in Asia
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4. Evolution Of Maruti
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5. Sales Volume
0 200 400 600 800 1000 1200
2004-2005
2005-2006
2006-2007
2007-2008
2008-2009
2009-2010
2010-2011
2011-2012
Export
Domestic
(000) Units
Source- www.marutisuzuki.com
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6. Financial Position
2011-12 2010-11 % change
Net Sales Rs. 347,059 Mn Rs. 358,490 Mn Down by 3.2%
Net Profit Rs. 16,351 Mn Rs. 22,887 Mn
Down by
28.6%
Total Volume 1,133,695 nos 1,271,005 nos
Down by
10.8%
Domestic 1,006,316 nos 1,132,739 nos
Down by
11.2%
Exports 127,379 nos 138,266 nos Down by 7.9%
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7. Market Share
By Volume
48.75%
4%
4.25%
20%
5%
5%
8%
3%
2%
MARUTI INDIA LTD
HYUNDAI
TATA MOTORS
HONDA
TOYOTA
FORD
GENERAL MOTORS
VOLKSWAGEN
OTHERS
Source: Company data, Macquarie Research, April 2012
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8. Market Share In Export
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9. Financial Results(Rs
Millions )
2010-11 2009-10
Gross total income 375,224 301,232
Profit before tax 31,088 35,925
Tax expense 8,202 10,949
Profit after tax 22,886 24,976
Balance brought forward 100,499 80,042
Profit available for appropriation 123,385 105,018
Appropriations:
General reserve 2,289 2,498
Proposed dividend 2,167 1,733
Corporate dividend tax 351 288
Balance carried forward to balance sheet 118,578 100,499
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10. Competitors
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11. Closest Competitor
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12. Company Profile
NAME HYUNDAI MOTORS
INDIA LIMITED
TYPE PUBLIC
INDUSTRY AUTOMOTIVE
FOUNDED 1946
HEADQUARTERS NEW DELHI
PRODUCTS AUTOMOBILES
REVENUE RS60,661CRORE,(US$11.09
billion)
NET INCOME RS3,481CRORE(US$644.32
MIL)
 EMPLOYEES 5930(2011)
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14. Segmentation
 Demographic (Income Wise)
Entry Level(2.5-5) lakhs
Maruti Hyundai
Alto 800 Eon
Alto K10 Santro
Zen Estilo i-10
Wagon-R
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15. Segmentation
Mid Segment(5-10)
Maruti Hyundai
Swift i-20
Swift Desire Verna
SX-4
Ertiga
Premium Segment(10-25)
Grand Vitara Santa Fe
Kizashi Elantra
Sonata
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16. Targeting
Middle
Class
Middle
Class
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17. Positioning
Car of India
Value for
Money
Low
Maintenance
Cost
Car of
young
generation
Innovative
Products
Largest
car
exporter
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18. Marketing Mix
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19. Product Portfolio
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20. Product Portfolio
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21. Eon v/s Alto 800
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22. i-10 v/s wagon-R
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23. i-20 v/s Swift
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24. Verna v/s SX4
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25. Santa Fe v/s Grand Vitara
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26. Price
• Maruti Suzuki
• The lowest price car is Alto
• The highest price car is Grand Vitara
with Rs . 2363840
• Hyundai
• The lowest price car is Eon with Rs.278910.
• The highest price car is Santa Fe with
Rs. 2269561.

27. Maruti Suzuki Price Hyundai Price
Low High Low High
Maruti Suzuki Alto 800 250148 363815 Hyundai Eon 278910 382362
Maruti Suzuki Zen
Estilo
352077 442235 Hyundai
Santro Xing
293956 408200
Maruti Suzuki Wagon
R 1.0
362077 449525 Hyundai i10 374214 623897
Maruti Suzuki A-Star 387513 470399 Hyundai i20 482412 789733
Maruti Suzuki Ritz 434425 643898 Hyundai
Accent
523603 562840
Maruti Suzuki Swift 460874 698534 Hyundai Verna 723517 1146308
Maruti Suzuki Swift
DZire
505790 756813 Hyundai New
Elantra
1273088 1612272
Maruti Suzuki Ertiga 612735 890533 Hyundai
Sonata
1885525 2096638
Maruti Suzuki SX4 737119 968917 Hyundai Santa
Fe
2269561 2576740
Maruti Suzuki Kizashi 1697517 1799330

28. Place
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29. Place (Maruti)
1100
801
409
1305
1653
2958
1408
0 1000 2000 3000 4000
CITIES COVERED BY SERVICE NETWORK
TOTAL SERVICE POINTS
MASS'S
DEALER'S WORKSHOPS
MARUTI TRUE VALUE OUTLETS
CITIES COVERED BY SALES NETWORK
TOTAL SALES NETWORK
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30. Place (Hyundai)
DEALERSHIP 451
0 100 200 300 400 500 600 700
SERVICE CENTER
CITIES COVERED
647
340
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32. Promotion
(Maruti)
• Advertising
- Tv ads- “Ghar Aa Gaya Hindustan”
- Print ads
- Radio Ads
• Trade shows
• Premiums (gifts)
• Place Advertising – Bill boards
• TV shows - India’s Got talent
• Motor Sports- Reid De Himalaya
• Brand Ambassador R.Madhvan
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33. Promotion
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34. Social Network Promotion
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35. Brand Ambassador
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36. Advertisement
• ..DesktopmarutiTV Commercials for Maruti Suzuki - Branded Cars - Brands.flv
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37. Promotion (Hyundai)
• Advertising
- Tv ads- New Thinking New Possibilities
- Print ads
- Radio Ads
• Place Advertising – Bill boards
• Official Sponsor Of ICC T-20 World Cup
2012
• Brand Ambassador Shahrukh Khan
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38. Promotion
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39. Social Network Promotion
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40. Brand Ambassador
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41. Advertisement
• ..Desktopmarutivideoplayback.FLV
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42. SWOT
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43. Strengths
Maruti Suzuki Hyundai
1
2
Brand loyality & Brand Image
3
4
5
6
1
2
3
4
5
6
Reliablity.
Experience in Indian market.
Established distribution & after
sales networks
Diversified market
Initiator in second hand
vehicle sales through its True-value
entity
New Innovative design and
technology
Established name in Premium
segment
Brand Equity
Largest exporter of car in Asia
Quality products
Strong financial position

44. Weakness
Maruti Suzuki Hyundai
1
2
Low quality interiors when
compare other major players
3
4
5
1
2
3
4
5
Maruti hasn’t proved itself in
SUV Segment like others
Still considered as lower
segment brand
Depend only on their
successful products
Long waiting period
Costly maintainance
Prices are slightly higher then
competitors
No presence in Utility vehicle
(like Omni, Eeco)
Not successful in SUV
segment
Quality products

45. Opportunity
Maruti Suzuki Hyundai
1
2
Fast growing automobile
industry
3
4
5
1
2
3
4
5
Increase in Potential Income
of People
Change in the lifestyle of
people
Developing hybrid cars for
future.
Opportunity to enter
commercial vehicle
Tapping emerging markets
across the world.
People preferring more
innovative and new design
Opportunity to enter
commercial vehicle market
Fast growing automobile
industry
Developing hybrid cars for
future.

46. Threats
Maruti Suzuki Hyundai
1
2
Labour Union Issues
3
4
1
2
3
4
Increasing fuel prices
China entering Indian
Automobile market.
More Competition from
foreign players
More Competition from
foreign players
Government policies for
automobile sector
Government focusing more on
Public transport
China entering Indian
Automobile market.

47. Conclusion
• Still possessing the largest market share
in terms of sale units, Maruti’s growth
rate is declining day by day
• It has to work a lot to stand on the top
position and create a name in premium
segment

48. References
1. Principles of Marketing (Kotler.Philip, Armstrong Gary).
2. Marketing Management AND case studies (ICMR publication).
3. The TIMES OF INDIA (Internet editions and New Delhi
Edition-11.06.07)
4. www.surfindia.commarketingstartgiesautomobileindustries.ht
ml
5. www.goi.govdisinvestments.pdf
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